KDJ Cross Script

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-- SPDX-License-Identifier: MIT
-- IQOptionWiki QCS Library
-- IQOW KDJ Cross v1.0.1
--
-- KDJ extends the stochastic oscillator: K is the smoothed stochastic, D is
-- its moving average and J = 3K - 2D reacts faster than both. A K/D cross
-- with J already stretched marks a possible turn. K follows the KDJ panel
-- IQ Option draws. Drawn in its own panel.
--
-- The Stochastic follows IQ Option's built-in Stochastic Oscillator: the close
-- against the highest high and the lowest low of the %K period. Version 1.0.1
-- (9 October 2026) changed this from the highest and lowest close; the inputs,
-- periods and levels are unchanged.
--
-- HIGHER: K crosses above D while J is below 20.
-- LOWER:  K crosses below D while J is above 80.
--
-- Markers use the previous completed candle: they appear after the next candle
-- opens and are shifted back one bar onto the candle that qualified.
-- Educational chart tool only. It does not place trades, choose an expiry,
-- predict outcomes, or guarantee results. Test on a Practice balance first.

instrument {
    name = "IQOW KDJ Cross",
    short_name = "IQOW KDJ",
    overlay = false
}

input_group {
    "1. KDJ settings",
    k_period = input (9, "Stochastic period", input.integer, 2, 100),
    k_smooth = input (3, "K smoothing", input.integer, 1, 50),
    d_period = input (3, "D period", input.integer, 1, 50)
}

input_group {
    "2. Levels",
    low_level = input (20, "Low level (J)", input.double, 0, 45, 1, false),
    high_level = input (80, "High level (J)", input.double, 55, 100, 1, false)
}

input_group {
    "Display and advice",
    lines_visible = input { default = true, type = input.plot_visibility },
    signals_visible = input { default = true, type = input.plot_visibility },
    advice_enabled = input { default = false, name = "Enable platform advice", type = input.boolean }
}

input_group {
    "Colors",
    k_color = input { default = "#FF7700", type = input.color },
    d_color = input { default = "#25E154", type = input.color },
    j_color = input { default = "#B42EFF", type = input.color },
    level_low_color = input { default = rgba(255, 108, 88, 0.5), type = input.color },
    level_high_color = input { default = rgba(37, 225, 84, 0.5), type = input.color },
    line_width = input { default = 1, type = input.line_width },
    higher_color = input { default = "#25E154", type = input.color },
    lower_color = input { default = "#FF6C58", type = input.color },
    signal_text_color = input { default = "#FFFFFF", type = input.color }
}

-- KDJ: K = smoothed stochastic (0-100), D = SMA of K, J = 3K - 2D.
-- Stochastic as IQ Option's KDJ panel draws it: the close against the
-- highest high and lowest low of the %K period (not the highest and lowest
-- close), 50 when that range is zero. %K is that value smoothed with an SMA and
-- multiplied by 100; %D is an SMA of %K.
kdj_low = lowest (low, k_period)
kdj_range = highest (high, k_period) - kdj_low
kdj_raw = iff (kdj_range > 0, (close - kdj_low) / kdj_range, kdj_range + 0.5)
k_line = sma (kdj_raw, k_smooth) * 100
d_line = sma (k_line, d_period)
j_line = 3 * k_line - 2 * d_line

-- Current-bar scalars for the Lua rule logic.
local k_now = get_value (k_line, nil)
local k_before = get_value (k_line [1], nil)
local d_now = get_value (d_line, nil)
local d_before = get_value (d_line [1], nil)
local j_now = get_value (j_line, nil)

local data_is_ready =
    low_level < high_level and
    k_now ~= nil and
    k_before ~= nil and
    d_now ~= nil and
    d_before ~= nil and
    j_now ~= nil and
    get_value (d_line [k_period + k_smooth], nil) ~= nil

-- Event: K crosses D on this candle while J is stretched.
higher_setup = conditional (
    data_is_ready and k_before <= d_before and k_now > d_now and j_now < low_level
)
lower_setup = conditional (
    data_is_ready and k_before >= d_before and k_now < d_now and j_now > high_level
)

-- Confirm only a new setup on the previous completed candle.
confirmed_higher = conditional (
    get_value (higher_setup [1], false) and
    not get_value (higher_setup [2], false)
)

confirmed_lower = conditional (
    get_value (lower_setup [1], false) and
    not get_value (lower_setup [2], false)
)

hline { value = high_level, color = level_high_color, width = 1 }
hline { value = low_level, color = level_low_color, width = 1 }

if lines_visible then
    plot (k_line, "%K", k_color, line_width)
    plot (d_line, "%D", d_color, line_width)
    plot (j_line, "%J", j_color, line_width)
end

if signals_visible then
    plot_shape (
        confirmed_higher,
        "KDJ HIGHER",
        shape_style.triangleup,
        shape_size.small,
        higher_color,
        shape_location.bottom,
        -1,
        "HIGHER",
        signal_text_color
    )

    plot_shape (
        confirmed_lower,
        "KDJ LOWER",
        shape_style.triangledown,
        shape_size.small,
        lower_color,
        shape_location.top,
        -1,
        "LOWER",
        signal_text_color
    )
end

-- QCS advice is a platform notification state only; it does not place trades.
if advice_enabled and
    get_value (confirmed_higher, false) and
    not get_value (confirmed_lower, false) then
    advise (advice.buy)
elseif advice_enabled and
    get_value (confirmed_lower, false) and
    not get_value (confirmed_higher, false) then
    advise (advice.sell)
else
    advise (advice.neutral)
end